Q4 2019 earnings call€¦ · Operating earnings per share Actual versus guidance ($ per share) 3 $1.10 Actual¹ Weather normal² Guidance¹ ¹ See pages 7, 8, 20, 21, and 24 of the

Q4 2019 earnings callFebruary 11, 2020

Please refer to page 2 for risks and uncertainties related to projections and forward looking statements. 2

Important note to investors

This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding Dominion Energy. The statements relate to, among other things, expectations, estimates and projections concerning the business and operations of Dominion Energy. We have used the words "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", “outlook”, "predict", "project", “should”, “strategy”, “target”, "will“, “potential” and similar terms and phrases to identify forward-looking statements in this presentation. As outlined in our SEC filings, factors that could cause actual results to differ include, but are not limited to: unusual weather conditions and their effect on energy sales to customers and energy commodity prices; extreme weather events and other natural disasters; federal, state and local legislative and regulatory developments; changes to federal, state and local environmental laws and regulations, including proposed carbon regulations; cost of environmental compliance; changes in enforcement practices of regulators relating to environmental standards and litigation exposure for remedial activities; capital market conditions, including the availability of credit and the ability to obtain financing on reasonable terms; fluctuations in interest rates; changes in rating agency requirements or credit ratings and their effect on availability and cost of capital; impacts of acquisitions, divestitures, transfers of assets by Dominion Energy to joint ventures, and retirements of assets based on asset portfolio reviews; receipt of approvals for, and timing of, closing dates for acquisitions and divestitures; changes in demand for Dominion Energy’s services; additional competition in Dominion Energy’s industries; changes to regulated rates collected by Dominion Energy; changes in operating, maintenance and construction costs; timing and receipt of regulatory approvals necessary for planned construction or expansion projects and compliance with conditions associated with such regulatory approvals; adverse outcomes in litigation matters or regulatory proceedings; and the inability to complete planned construction projects within time frames initially anticipated. Other risk factors are detailed from time to time in Dominion Energy’s quarterly reports on Form 10-Q and most recent annual report on Form 10-K filed with the Securities and Exchange Commission.

The information in this presentation was prepared as of February 11, 2020. Dominion Energy undertakes no obligation to update any forward-looking information statement to reflect developments after the statement is made. Projections or forecasts shown in this document are based on the assumptions listed in this document and are subject to change at any time. In addition, certain information presented in this document incorporates planned capital expenditures reviewed and endorsed by Dominion Energy’s Board of Directors. Actual capital expenditures may be subject to regulatory and/or Board of Directors’ approval and may vary from these estimates.

This presentation shall not constitute an offer to sell or the solicitation of an offer to buy securities. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the requirements of the Securities Act of 1933, as amended. This presentation has been prepared primarily for security analysts and investors in the hope that it will serve as a convenient and useful reference document. The format of this document may change in the future as we continue to try to meet the needs of security analysts and investors. This document is not intended for use in connection with any sale, offer to sell, or solicitation of any offer to buy securities.

This presentation includes various non-GAAP financial measures. Please see the fourth quarter 2019 Dominion Energy earnings release kit for a reconciliation to GAAP. Please continue to regularly check Dominion Energy’s website at www.dominionenergy.com/investors.

http://www.dominionenergy.com/investors

Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Operating earnings per shareActual versus guidance ($ per share)

3

$1.10

Actual¹ Weathernormal²

Guidance¹

¹ See pages 7, 8, 20, 21, and 24 of the fourth quarter 2019 Earnings Release Kit for supporting information and a reconciliation to GAAP. ² See appendix page 42 for detailed weather impact ³ 2018 weather normalized operating EPS of $4.00

Full-year 2019

Actual¹ Weathernormal²

Guidance¹

$4.24

Fourth quarter 2019

$1.18 $1.18$1.25

$4.22$4.30

$4.15

+5.5%Increase vs 20183

Favorable weather impact on utility earnings: <$0.01

Favorable weather impact on utility earnings: $0.02


GuidanceOperating earnings and dividends per share

4

$4.25

2019 weather normal¹ 2020 guidance

$4.22

$4.60

¹ See appendix page 42 for detailed weather impact ² Subject to Board approval

Drivers vs. 2019Regulated investmentLower interest expenseMillstone: Full-year PPALower nuclear D&ACove Point minority interestShare dilutionMillstone: Double outageMillstone: Lower capacity pricing

▪ Q1 2020 operating EPS guidance: $1.05—$1.25

▪ 2020+ annual operating EPS growth per year: 5%+

▪ Dividends per share growth: 2.5% per year²

+5%to

midpoint


Gas Transmission & Storage

UTCO

WY OH

GASC

NCVA

PA

NY

WV

Gas pipelines & storage, LNG

import/export, RNG

Summary

5

States of operation

2020E operating earnings

contribution¹

Description

Dominion EnergyVirginia

Contracted Generation

Gas Distribution

VA

NC

OH

UT

WYWV

NC

ID

CT

MD

~45% ~15%~25% ~5%

CTUT

CA IN

Southeast U.S.

Electric distribution,

transmission & generation

Gas distribution

Millstone and long-term

contracted solar

Dominion EnergySouth Carolina

~10%

Electric distribution, transmission,

generation & gas distribution

SC

Updated operating segments

¹ Based on the midpoint of 2020 guidance; excludes Corporate and Other & Eliminations



Operating income guidance and drivers

6

2018A

2019A

2020E

2018A—2020ECAGR2

Select operating

income drivers

Year(s) impacted



Gas DistributionDominion Energy

South Carolina

Updated segment-level disclosure

¹ Not shown: Corporate and Other & Eliminations ² Measured to the midpoint of 2020 guidance 3 Gas Distribution CAGR adjusted to exclude addition of PSNC in 2019; inclusive of PSNC, CAGR would be 21.4%

$1,870—$2,010

$1,596

$1,786

$940—$1,015

$844

$934

$373

$488

$535—$565

$430

$460—$490

$276

$205—$235

$245

10.3% 7.6% 9.9%3 (5.2%)

Regulated investment (2019/2020)


Full-year Cove Point export(2019)

Sale of Blue Racer (2019)

Cove Point equity recap (2020)


Addition of PSNC (2019)

Sale of Fairless and Manchester (2019)

Full-year Millstone PPA (2020)

Millstone double outage + capacity pricing (2020)

N/A

Help Hurt

Op

era

tin

g e

arn

ings

($

M)


SCE&G merger(2019)

O&M(2020)

N/A


Updated segment-level disclosureOperating earnings per share guidance

7

¹ Not shown: Corporate and Other & Eliminations; assumes pro-rata allocation to segments based on operating EPS contribution

Dominion Energy Virginia


Gas Distribution

Dominion Energy South Carolina


Corporate and Other & Elims

Consolidated total

2020E guidance

$2.22—$2.40

$1.12—$1.21

$0.64—$0.67

$0.55—$0.58

$0.24—$0.28

($0.52)—($0.54)

$4.25—$4.60


47%

Gas Distribution13%


11%

2020E: $4.25—$4.60

State regulated:~70%


5%


24%

2020E contribution by segment¹


Gas Transmission

& Storage

Capital structure summary

8



Gas Distribution

Dominion EnergySouth

Carolina

Updated segment-level disclosure

Corporate and Other3

$12.7

$38.0

$5.6$1.5

$3.4$0.9

$14.0

Total

Tota

l de

bt

($B

)¹Se

gme

nt

Fin

anci

ng

en

titi

es

VEPCO DEGH DEO2

Questar Gas

PSNC

DESC Solar entities DEI

¹ Total long term debt, commercial paper (CP) outstanding, and DERI-demand notes. Excludes cash, financing leases, fair value hedge valuation, unamortized discount, premium and debt issuance costs, and estimated prepayments. Preliminary and unaudited as of 12/31/2019. See appendix page 49 for detailed schedule. 2 Expect Opco level debt issuance in 2020 3 Legacy SCANA Corp indebtedness expected to be reduced to zero in 2020 via maturities and liability management

Denotes SEC registrant

✓ ✓ ✓ ✓

✓


Balance sheetContinued improvement in 2019

9

2016A 2017A 2018A 2019E

11.0%

CFO pre-WC / debt

Note:2016A—2018A as per Moody’s “as-adjusted” published metrics. 2019E represents internal estimate utilizing Moody’s methodology. See appendix page 46-47 for details

~14.5%

12.0%

14.0%

Pension

▪ ~55 basis points increase in discount rate would bring overall pension to fully funded basis

2018A 2019E

85%

92%

Overall funded status


Capital expenditures2020 plan ($ billions)

10


Gas Transmission &Storage

Gas Distribution Dominion EnergySouth Carolina

ContractedGeneration

Total

$1.0

$3.0

$0.9

$5.6

$2.4

$8.0

Maintenance¹

Note: Totals reflect rounding¹ Inclusive of maintenance, nuclear fuel, and environmental capex

Legend

$3.9

$1.4

$1.2

$0.9$0.5

$0.3$0.3

Growth


Long-term debt issuance plan2020 ($ millions)

11

Issuance rangeScheduled debt

maturities³Net issuances



Gas Distribution

DEI2

¹ Includes DEO Opco level financing; proceeds to retire intercompany debt, reduce parent-level short-term debt; 2 Includes SCANA Corp; ³ See slide 50 for details

$800—$1,000 $ — $800—$1,000

$400—$700 $700 ($300)—0

$1,800—$2,000¹ $100 $1,700—$1,900

$ — $ — $ —

$ — $50 ($50)

$2,300—$2,600 $2,271 $30—$330


▪ Common equity plans: $300M of DRIP▪ Excludes future opportunistic re-financings of existing short- or long-term debt



Atlantic Coast PipelineSelect updates

12

Financial update

Capex to date(total project)¹

Project-leveldebt

AFUDCequity rate

Expected EPS contribution: 2020

Expected EPS contribution: 2022²

(full-year in-service)

$3.4B

$1.8B

14%

~20—25 centsper share

“Mid- to high- teen” cents per share

¹ Excludes approximately $0.7B of capitalized AFUDC debt and equity² Assumes 50/50 debt/equity permanent capital structure at project-level; includes project-level interest expense, parent-level income taxes on equity earnings, and contribution from Supply Header

Unconsolidated,equity-method basis

Ownership

D48%

Agreed to acquire select marine LNG assets + 5% equity stake in ACP from Southern for total cash consideration

of $175MSO5%

Anchor shippers & volumes

Accounting

DUK 47%

Pro forma D 53%

No change(incl. SO)


Key themes

13

Regulated + “like” earnings95%

~6%

$26B

16th

Affirmed

Earnings from:State-regulated utilities /

FERC-regulated assets serving utility customers

Five-year growth capital plan

(2019—23)

Consecutive quarter of meeting / exceeding midpoint of guidance

5%+ operating EPS growth post-20202.5% DPS growth¹

¹ Subject to Board approval

70%

25%

Year-over-year rate base growth


SafetyOSHA recordable incident rate¹

14

1.78

1.441.34 1.32

1.06 1.02 1.04 1.000.92 0.88

0.80

0.65 0.65 0.62

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Nu

mb

er o

f R

eco

rdab

les

per

1

00

Em

plo

yees

Eac

h W

ork

Yea

r

¹ Pro forma for SCANA and Questar


Reducing our emissions profileCarbon and methane emission reductions

15

2005 2018

Carbon emissions (million metric tons)¹

74.3

39.3

47% reduction

¹ Pro forma for legacy SCANA generation assets (2005 and 2018)² Excludes legacy SCANA gas assets (DESC and PSNC)

Methane emissions (thousand metric tons)²

2010 2018

122.8

93.1

24% reduction

Nearly 2x better than industry

average


Reducing our emissions profileCoal-fired generation

16

Coal-fired generation as percent ofcompany-wide generation output (MWh)¹

2005A 2019A

52%

12%

¹ Pro forma for legacy SCANA generation assets (2005 and 2019)² Company-wide investment base includes DEV, GT&S, Gas Distribution, and DESC rate base plus Cove Point net PP&E

Coal-fired generation as percent of company-wide investment base²

Coal-fired generation as percent ofcompany-wide generation capacity (MW)¹

2005A 2019A

20%

35%

~8%coal

~92%


Net zero emissions by 2050Carbon and methane across electric and gas operations

17

Extend lives of carbon-free nuclear units

Promote conservation andcustomer energy efficiency

Enhance gas infrastructure leak

detection

Invest significantly in solar and offshore wind

Reduce coal-fired generation

Enhance electric grid forEV / renewables

Systematically replace legacy gas distribution lines

Progressive methane reduction targets65% by 2030 and 80% by 2040¹

Transportation: Electric school

buses

Transportation:LNG & Compressed

RNG

Agriculture: Renewablenatural gas

NET ZERO

¹ As compared to 2010 levels

Beyond Dominion Energy: Customer solutions

Supportive legislative and regulatory policies and broader investments across the economy

Test + deploytechnologies such as large-

scale energy storage & carbon capture


Select ESG accolades

18

“Shareholder returns meannothing if a company’sworkers, customers,communities andenvironments aren’tconsidered, too. That's the reasoning underlying the third annual Just 100, a ranking of America's best corporate citizens”

“Dominion Energy is one of a small number of high-performing companies out of thousands

that were scored”

Climate

Water

A-

A

“Places the company in a category of leaders who manage carbon

emissions and address climate-related issues”


“Beyond Dominion Energy”

19

Electric school buses

Transportation Agriculture

Enhanced grid for EV

Marine LNGRenewable natural gas

“Beyond Dominion Energy”Providing our customers with solutions to reduce their environmental footprints


Business updatesDominion Energy Virginia

20

Offshore wind

▪ 2.6 GW of wind generation off the coast of Virginia

▪ COP submission: End of 2020

▪ Complete permitting/commence construction: 2024

▪ Full in-service: End of 2026

▪ Utility asset with regulated cost recovery, subject to SCC approval

▪ ~$8B capex, primarily 2024+

▪ GTSA + legislation working through General Assembly

▪ CVOW pilot to achieve commercial operation late summer 2020

System growth

▪ 1.4% year-over-year sales growth (weather-normal)

▪ 34,000 new connects, up 10%

▪ 26 data centers, up 45%

▪ Summer peak load growth forecast (DomZone vs. Overall PJM):

▪ 10 year: 1.2% vs. 0.6%

▪ 15 year: 1.0% vs. 0.5%



21

Solar

▪ 3,000MW of solar in development or in operation in Virginia by 2022:57% complete

▪ Second solar CPCN approval (US-4) in last twelve months

▪ Company-wide solar investment to date: ~$4B

▪ Expected solar investment through 2023: ~$3B

▪ Fourth largest utility-owner of solar in U.S.

Grid Transformation

▪ Phase two (~$500M) before Commission

▪ Expect decision in March 2020

▪ Automated metering, new customer information platform, and investments in grid resiliency and telecommunications

▪ Improved customer experience

▪ Protects system from climate-related risks

▪ Renewables integration



22

Electric school buses

▪ Initial allotment of 50 buses complete by year-end

▪ 1,500 additional buses by 2025 at cost of ~$400M

▪ 13,000 buses within VA service territory

▪ Vehicle-to-grid technology: Up to 60MW of battery storage

▪ Legislation working through General Assembly

Other programs

▪ Electric transmission: Nearly $900M of capital investment in 2019

▪ Nuclear life-extension: Turkey Point (NEE) approval positive for industry

▪ Distribution undergrounding: 1,300 miles since program inception

▪ Pumped storage: On-going, early-stage planning

▪ Renewable-enabling quick-start generation

▪ Rural broadband


Business updatesDominion Energy South Carolina, Gas Distribution, GT&S

23

RNG Marine LNGDominion Energy South Carolina Gas Distribution

GT&S: RNG GT&S: Marine LNG

Electric Gas

3-year customer CAGR

1.7%

3.2%▪ Strong growth

▪ Integration progress

▪ Excellent reliability

▪ 2020 electric rate case

2.6%

▪ Strong growth

▪ Infrastructure replacement

▪ Reliability investment

▪ Reducing emissions profile

UT & NC Segment

3-year customer CAGR

1.5%

▪ Two existing partnerships

▪ $700M partnership-level capital investment over ten years

▪ Dominion’s share: ~$450M

▪ A unit of captured methane equal to 25 units of CO2

▪ Strategy focused on helping customers reduce emissions profile

▪ ~$200M capital investment over next five-years

▪ Provides LNG as alternative to more-emitting fuel sources for marine and on-shore applications


Business updatesAtlantic Coast Pipeline

24

Appalachian Trail Biological Opinion Buckingham County

Agency

Status

Expected resolution

U.S. Forest ServiceU.S. Fish and Wildlife

ServiceVA Air Control Board

Supreme Court oral argument: Feb 24

In process Evaluating alternatives

May/June 2020 1H 2020 2H 2020

Cost: ~$8B; In-line with high-end of original “judicial solution” guidance

Timing: Construction complete by year-end 2021, in-service early 2022

Note: Cost and timing estimates assume BiOp during 1H 2020¹

Summary

¹ See appendix page 33 for select permit resolution expectations


Summary

25

✓ Achieved full-year safety results that are consistent with the record-setting performance of recent years

✓ Introduced a net zero emissions by 2050 target that accounts for carbon and methane emissions across both electric and gas operations

✓ Achieved weather-normalized operating earnings that met or exceeded the midpoint of our guidance for the 16th consecutive quarter

✓ Further improved credit metrics and successfully completed the restructuring of our operating segments

✓ Introduced 2020 operating EPS guidance that represents a five percent year over year increase to 2019¹

✓ Making significant progress across our capital investment programs to the benefit of customers

¹ Measured to guidance range midpoint


Appendix


Operating earnings per shareTrack-record of successful execution

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19

Guidancemidpoint

Weather normalized operating EPS vs. guidance

Upper endguidance

Lower endguidance

16 straight quarters of delivering results that meet or exceed midpoint

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19

27


Dominion EnergyOperating vs. reported earnings

28

Reportedearnings

(+/-) adjustments Operatingearnings

Trailing twelve quarters as of 4Q2019

$10.00

$1.86 $11.86

Illustrativeearnings

(+/-) adjustments Operatingearnings

Trailing twelve quarters as of 4Q19—Ex SCG merger adj.¹

$12.25

($0.39)

$11.86

Adjustments as % of operating

earnings: 16% including adjustments

related to SCANA merger

Illustrative adjustments as % of operating earnings: (3%)

¹ Illustrative analysis removes ~$2.4B in merger and integration costs, primarily attributable to customer refunds and VRP costs, from reported earnings


Adjustments to reported earningsPre-tax drivers

29

SCANA merger Power Generation &Power Delivery

Other¹ Pre-tax total

Note: See page 8 of the fourth quarter 2019 Earnings Release Kit for supporting information¹ Includes net gain on nuclear decommissioning trust funds and reduction of coal ash pond retirement obligations as a result of recent Virginia legislation

Full-year 2019

$1.4B

In-line with merger expectations $0.5B ($0.3B)

$2.5B

Period expense treatment under GTSA—Retirement of generating

units and automated meters


EnvironmentalGeneration by fuel type

30

Electric generation mix (MWH)

2005

Coal

Nuclear

Natural Gas

Petroleum

Biomass, Hydro, Solar, Wind

2005 2018

2018 2019

2019

52%

36%

7%

4%

1%

17%

39%

39%

<1%

5%

12%

42%

42%

0%

5%

Note: 2005 and 2018 historical data pro forma for SCANA. All data excludes Bath County and Fairfield pumped storage


EnvironmentalGeneration portfolio

31

~27,100MW

Total by fuel

40%

22%

20%

10%

8%

2019 owned electric generation capacity (MW)

Total by segment

~27,100MW

DE Virginia

DE South Carolina

Contracted Gen

Solar portfolio

Solar~1,800

MW

Contracted Gen

DE VA – PPA

69%

19%

12%

69%

20%

11%DE VA – Rate base

Natural gas

Nuclear

Coal

Biomass, Hydro, Solar, Wind

Petroleum

Note: Excludes Bath County and Fairfield pumped storage and third party PPAs and NUGs


EnvironmentalSolar portfolio

Approximate values In service In development Total

Virginia 600 MW 1,300 MW 1,900 MW

Rest of U.S. 1,200 MW — 1,200 MW

Total 1,800 MW 1,300 MW 3,100 MW

¹ Includes North Carolina² Excludes solar facilities placed in service before July 2018; includes wind and solar PPAs with VEPCO; includes CVOW wind project

Capacity summary: By geography

Capacity summary: By segment

Approximate values In service In development Total

Dominion Energy Virginia¹ 1,250 MW 1,100 MW 2,350 MW

Contracted Generation 550 MW 200 MW 750 MW

Total 1,800 MW 1,300 MW 3,100 MW

~57% of goal of 3,000 MW in service or in

development in Virginia by 2022²

32


Atlantic Coast Pipeline

33

Note: Construction and/or tree felling recommencement subject to FERC review. Project construction activities, schedules and costs are subject to uncertainty due to permitting and or work delays (including due to judicial or regulatory action), abnormal weather and other conditions that could result in cost or schedule modifications in the future which could result in a material impact to Dominion Energy’s cash flows, financial position and/or results of operations.

Reflects judicial solution to Appalachian Trail crossing

Permit/authorization Agency Current statusAssumed

resolution (timing)

Biological OpinionU.S. Fish & Wildlife Service

(USFWS)Vacated

(July 2019)Reissuance(1H 2020)

Nationwide 12 PermitU.S. Army Corps of Engineers

(USACE)Voluntarily remanded

(Jan 2019)Reissuance(1H 2020)

Blue Ridge crossingU.S. National Park Service

(NPS)Voluntarily remanded

(Jan 2019)Reissuance(2H 2020)

Forest Service crossing

AT crossing: SCOTUSVacated

(Dec 2018)

SCOTUS decision(no later than

6/2020)

Non-AT crossing:U.S. Forest Service (USFS)

Vacated(Dec 2018)

Reissuance(2H 2020)


State utility customers

34

DEVirginia2.6M39%

DESouth Carolina

1.1M17%

Gas Distribution3.0M44%

‘17-’19 CAGRCustomers

12/31/2019 (M)

DE Virginia 1.1% 2.6

DE South Carolina 2.2% 1.1

Electric 1.7% 0.7

Gas 3.2% 0.4

Gas Distribution 1.5% 3.0

UT/ID/WY 2.6% 1.1

NC 2.6% 0.6

OH 0.2% 1.2

WV (0.2%) 0.1

Total customers 1.4% 6.8

State summarySegment summary as of 12/31/2019

6.8M state utility customers

Note: Figures may not sum due to rounding


Estimated rate base growth in 2019¹$ billions

35

Note: Gas Distribution and DEV represent estimated rate base as of 12/31/19; DESC and Gas Transmission & Storage represent estimated rate base as of 9/30/2019¹ See appendix slides 36-40 for details and assumptions² Includes D share of ACP, Supply Header, Iroquois, and jurisdictional Cove Point LNG and Pipeline; excludes Cove Point export and liquefaction ³ Includes NND4 See page 62 of March 25, 2019 investor day materials

~$48B+~6%

vs. 20194


50%$23.8B

Gas Transmission& Storage²

16%$7.8B

Gas Distribution16%

$7.7B

Dominion Energy South Carolina³

18%$8.4B


Rate base($B)

Summary

36

VA base / Other

Common equity %

Allowed ROE

Electric Transmission

rider

Legacy A6 riders

Dominion Energy

North Carolina

$13.51

52.0%6 52.0%652.1%7 52.0%8

9.2%10 9.2% - 10.2%11.4%11 9.75%8

$4.43$4.42 $1.14

Notes:1 Estimated 2019 end of period rate base inclusive of non-jurisdictional (wholesale/retail contracts) and environmental rate base2 Estimated 2019 end of period rate base for Virginia’s transmission rider3 Estimated 2019 end of period rate base for legacy A6 riders: Bear Garden, VCHEC, Warren County, Biomass conversions, Brunswick County, Greensville County, Strategic Underground, and US-2 solar4 Rate base authorized by the NCUC in DENC’s 2019 base rate case. This includes NC’s allocated portion of total system generation, transmission, and distribution rate base5 Estimated 2019 end of period rate base for other A6 solar, wind, nuclear, pumped storage and grid modernization riders6 Year-end 2019 DEV equity ratio7 2018 equity ratio per the DEV FERC Form 18 Equity ratio and ROE authorized by the NCUC in DENC’s 2019 base rate case9 Weighted-average10 ROE authorized by the SCC in DEV’s 2019 ROE proceeding11 Includes 50 bps RTO adder

Customers 2.5M —— 0.1M

Total

$23.8

52.0%9

9.75%9

2.6M


Other A6 riders

52.0%6

9.2%

$0.45

—


Rate base1

($B)

Legacy A6 generation riders

37

Bear Garden

Common equity %2

Allowed ROE3

Stats

VCHECWarren County

Biomass

$0.3

52.0% 52.0%52.0% 52.0%

10.2% 10.2%10.2% 9.2%

622 MW 610 MW 153 MW

$0.6$1.1 $0.1

1,370 MW

Greensville

$1.0

52.0%

9.2%

1,588 MW


Brunswick

52.0%

10.2%

1,376 MW

$0.7

US-2 Solar

$0.1

52.0%

9.2%

56 MW

# homespowered

~146,000 ~342,500~150,000 ~38,000 ~400,000~340,000 ~14,000

Notes:1 Estimated 2019 end of period rate base for Virginia Jurisdiction, excludes SUP rider of approximately $0.4B rate base2 Year-end 2019 DEV equity ratio3 ROE authorized by the SCC in DEV’s 2019 ROE proceeding; includes adders where applicable

Total

$3.9

52.0%

9.2%-10.2%

5,775 MW

~1,430,000


Summary

38

DETI

Underground Storage

(bcf)

Rate base($B)3

Annual capacity (Dth/d)

QuestarPipelines1 DECG

CP LNG and Pipeline

% contracted demand

Iroquois

756 131 —— —

$3.2 $1.0 $0.3$0.5 $0.64

90% 95% 90%99% 99%

8,740,000 7,880,000 810,000 1,600,000² 1,800,000

Total

8875

$5.6

94%

20,830,000

Notes:1 Includes Questar Pipeline, Overthrust Pipeline and 100% White River Hub, LLC; Dominion Energy owns 50% of White River Hub, LLC2 Dominion Energy owns 50%, represent 100% of the asset3 As of 9/30/20194 Includes FERC jurisdictional import and transmission facilities5 Not inclusive of owned utility underground storage at DEO which would add ~170 Bcf



Summary

39

Notes:¹ Weighted average of UT, WY, and Wexpro (which is 100% regulatory equity capitalized) ² DEWV authorized equity capitalization of 42.34%, DEWV PREP earns on authorized 48.5% ³ Rate base weighted average

Ohio

Customers

Authorized equity %

Allowed ROE

Utah and Wyoming

West Virginia Total

1.2M 1.1M 3.0M0.6M

North Carolina

0.1M

$3.7 $2.2 $7.7$1.5 $0.2

51.3% 62.1%¹ 54.4%³52.0% 45.9%²

10.4% 9.9%¹ 9.7% 9.5% 10.1%³

Rate base($B)

Gas Distribution


Dominion Energy South CarolinaSummary

Notes:¹ Retail Portion ² As of September 30, 2019 3 $2.8B Net of amortization, DTL and DTA 4 Rate base weighed average

DESC:Electric¹

DESC:Gas

DESC:NND¹

Total

0.7M 0.4M 1.1M—

$5.5 $0.7 $8.4$2.23

52.18% 48.54% 52.81% 52.04%4

Customers

Authorized equity %

Allowed ROE

Ratebase2

($B)

10.25% 10.25% 9.90% 10.16%4

Rate base2

($B)

40


Contracted Generation2020 Millstone hedge position

Millstone hedging as of January 2020

15.4M MWh in

2020

57% long-term contracted8.8M MWh

$49.9927% hedged4.2M MWh

$39.55

16% open2.4M MWh

~85% of 2020 volumes de-risked at volume weighted average price of $46.62

41


WeatherAfter-tax impact ($M)

42

Dominion Energy Virginia2

Dominion Energy South Carolina3

Gas Distribution4

1 The effects on earnings from differences in weather compared to normal and compared to prior periods are measured using base rate revenue. This schedule does not reflect the O&M expenditures for restoring service associated with outages caused by major storms. 2 Dominion Energy Virginia electric utility operations 3 Dominion Energy South Carolina electric and gas utility operations 4 Comprised of Dominion Energy Ohio, Dominion Energy WV, Dominion Energy UT/WY/ID (Questar Gas), and PSNC. Note: Dominion Energy UT/WY/ID, PSNC and DE SC (Gas) have decoupling mechanisms that minimize or completely eliminate weather impacts. Figures may not sum to do rounding

Total

Q1

($33) $5 $38 $4 $14

(18) 13 7 2 4

(0) (1) (1) 0 (2)

($50) $17 $43 $6 $16

Q2 Q3 Q4 2019

Ve

rsu

s n

orm

al¹

Ve

rsu

s p

rio

r ye

ar¹

Dominion Energy Virginia2

Dominion Energy South Carolina3

Gas Distribution4

Total

Q1

($25) ($4) $23 ($8) ($15)

- - - - -

0 (2) (1) (1) (3)

($25) ($6) $22 ($9) ($18)

Q2 Q3 Q4 2019


WeatherDegree days

43

Note: 2018 excludes legacy SCANA entities

Quarter ended 12/31 12 months ended 12/31

2019 2018 2019 2018

Actual 1,217 1,302 3,259 3,608

Normal 1,251 1,244 3,527 3,508

Actual 83 129 2,031 2,019

Normal 56 51 1,682 1,663

Actual 481 - 1,179 -

Normal 495 - 1,337 -

Actual 39 - 951 -

Normal 11 - 818 -

Actual 481 - 1,179 -

Normal 495 - 1,337 -

Actual 2,211 2,154 5,501 4,672

Normal 2,189 2,189 5,569 5,569

Actual 1,909 2,060 5,355 5,693

Normal 1,908 1,929 5,513 5,553

Actual 1,131 - 2,942 -

Normal 1,224 - 3,197 -

Heating

Heating

Cooling

Dominion

Energy Virginia

Dominion

Energy South

Carolina

Heating

Cooling

Ele

ctri

cG

as

SC

UT / WY / ID

OH / WV

NC


Fixed incomeCredit ratings

44

Dominion Energy, Inc. Moody’s S&P Fitch

Corporate/Issuer Baa2 BBB+ BBB+

Senior Unsecured Debt Securities Baa2 BBB BBB+

Junior Subordinated Notes Baa3 BBB BBB

Enhanced Junior Subordinated Notes Baa3 BBB- BBB-

Preferred Stock Ba1 BBB- BBB-

Short-Term/Commercial Paper P-2 A-2 F2

Outlook Stable Stable Stable

Virginia Electric and Power Company Moody’s S&P Fitch

Corporate/Issuer A2 BBB+ A-

Senior Unsecured Debt Securities A2 BBB+ A



Dominion Energy Gas Holdings, LLC Moody’s S&P Fitch

Corporate/Issuer Baa1 BBB+ BBB+

Senior Unsecured Debt Securities Baa1 BBB+ BBB+



Questar Gas Moody’s S&P Fitch

Corporate/Issuer A3 BBB+ A-

Senior Unsecured Debt Securities A3 BBB+ A



Dominion Energy Questar Pipeline, LLC Moody’s S&P Fitch

Corporate/Issuer A3 BBB+ N/A

Senior Unsecured Debt Securities A3 BBB+ N/A

Outlook Stable Stable N/A

Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time


Fixed incomeCredit ratings (cont’d)

45

DESC Moody’s S&P Fitch

Corporate/Issuer Baa2 BBB+ BBB

First Mortgage Bonds Baa1 A A-


Outlook Stable Stable Positive

PSNC Moody’s S&P Fitch

Corporate/Issuer Baa1 BBB+ BBB

Senior Unsecured Debt Securities Baa1 BBB+ BBB+


SCANA Corporation Moody’s S&P Fitch

Corporate/Issuer Baa3 BBB+ BBB-

Senior Unsecured Debt Securities Baa3 BBB BBB-


Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time


DenominatorSource: 10K

Consolidated Balance Sheetunless otherwise noted

Net cash provided by operating activities

(-) Changes in working capital

(-) Capitalized interest (Note 2, Property, Plant and Equipment)

(+) Depreciation component of operating leases (Note 15. Leases)

(+) Interest expense on junior subordinated notes x 25% (Note 18. Long Term Debt)

(-) Interest expense on preferred equity units treated as debt

(+) Other one time adjustments

Total CFO pre-WC

Securities due within one year

(+) Credit facility borrowings

(+) Short-term debt

(+) Total long-term debt

(+) Unamortized discount, premium and issuance costs, net (Note 18. Long Term Debt)

(+) Operating lease adjustment (NPV of future lease payments)

(+) Ownership-level percent of credit facility draw at Atlantic Coast Pipeline (during guaranteed period)

(+) Pension liability

(+) Perpetual Preferred Stock x 50%

(-) Junior subordinated notes x 25%

Total debt

NumeratorSource: 10K

Consolidated Statements of Cash Flow

unless otherwise noted

Fixed incomeCompany-modeled CFO pre-WC to debt


Fixed incomeCompany-modeled CFO pre-WC 2019 adjustments ($ billions)

47

CFO pre-WC (+) SCANA merger-relatedexpenses

(+) NUG contract expense Adjusted CFO pre-WC

$0.3 $0.1$5.7

$6.1


Fixed incomeSchedule of liquidity position ($ billions, as of Dec 31, 2019)

48

Totalcommitedbank lines

(-)Commercial paperoutstanding / LOC¹

(=)Total available

capacity

(+)Cash and short-terminvestment on hand²

(=)Total

liquidity available³

¹ Includes commercial paper of $836M and letters of credit of $89M 2 Represents aggregate collected cash balances; not ledger balances per financial statements 3 Does not include liquidity impacts from Dominion Energy Reliability Investment program (DERI)

$6.0

($0.9)

$5.1 $5.2$0.1


Segment Financing Entity Description Maturity Weighted Avg. Rate Short-term at 12/31/2019 Long-term at 12/31/2019

DE Virginia VEPCO Unsecured Senior Notes, fixed rates 2022-2049 4.27% -$ 11,789$

DE Virginia VEPCO Tax-Exempt Financings, fixed rates 2032-2041 2.02% - 625

DE GT&S DEGH Unsecured Senior Notes, variable rate 2021 2.49% - 500

DE GT&S DEGH Unsecured Senior Notes, fixed rates 1 2020-2049 3.44% 700 3,931

DE GT&S DEQP Unsecured Senior Notes, fixed rates 2028-2041 4.23% - 430

DE Gas Dist QGC Unsecured Senior Notes, fixed rates 2024-2051 4.25% - 750

DE Gas Dist PSNC Senior Debentures and Notes, fixed rates 2020-2047 5.05% 100 600

DE SC DESC First Mortgage Bonds, fixed rates 2021-2065 5.42% - 3,267

DE SC DESC Tax-Exempt Financing, variable rate 2038 1.65% - 35

DE SC DESC Tax-Exempt Financings, fixed rates 2028-2033 3.90% - 54

DE SC DESC Other Long-term Debt, fixed rates 2027-2070 3.69% - 1

DE SC GENCO Tax-Exempt Financing, variable rate 2038 1.65% - 33

DE C Gen DGI sub Secured Senior Notes, fixed rate 2042 4.82% 15 330

DE C Gen DGI sub Term Loans, variable rates 2023-2024 4.24% 35 492

DE C Gen DGI sub Tax-Exempt Financing, fixed rate 2033 1.70% - 27

Corp & Other DEI Unsecured Senior Notes, variable rates 2020 2.31% 300 -

Corp & Other DEI Unsecured Senior Notes, fixed rates 2 2021-2049 4.15% - 7,688

Corp & Other DEI Unsecured Junior Subordinated Notes:

Corp & Other DEI Fixed rates 2020-2024 3.01% 1,000 1,950

Corp & Other DEI Payable to Affil iated Trust, fixed rate 2031 8.40% - 10

Corp & Other DEI Enhanced Junior Subordinated Notes, variable rates 3 2066 4.41% 397 -

Corp & Other DEI Enhanced Junior Subordinated Notes, fixed rates 2054-2076 5.48% - 1,485

Corp & Other SCANA Unsecured Medium Term Notes, fixed rates 3 2020-2022 5.06% 508 -

Corp & Other SCANA Unsecured Senior Notes, variable rate 3 2034 2.61% 66 -

Total Principal Amount 3,121$ 33,997$

Fair Value Hedge Valuation - 4

Unamortized Discount, Premium and Debt Issuance Costs, net (7) (262)

Finance leases 29 105

Estimated mandatory prepayments based on estimated cash flows in excess of debt service 20 (20)

Total Debt 3,163$ 33,824$

Fixed incomeSchedule of long-term debt ($ millions, preliminary & unaudited)

49

¹ Includes foreign currency remeasurement assignments 2 Includes debt previously issued by CNG ³ Includes debt that will be redeemed prior to stated maturity and is therefore presented within current liabilities


Fixed incomeSchedule of debt maturities ($ millions, as of Feb. 2020)

50

¹ Early redemption date

Financing

Due Date Entity DE Virginia DE GT&S DE Gas Dist DE SC DE C Gen Corp & Other Total

2020

2006 Series A Enhanced Jr Subordinated Notes (variable) 02/18/20 1 DEI - - - - - 111 111

2006 Series B Enhanced Jr Subordinated Notes (variable) 02/18/20 1 DEI - - - - - 286 286

2007 Senior Notes (variable) 03/02/20 1 SCANA - - - - - 66 66

4.75% Medium Term Notes 03/05/20 1 SCANA - - - - - 183 183

4.125% Medium Term Notes 03/05/20 1 SCANA - - - - - 155 155

6.54% Private Placement Senior Notes 03/30/20 PSNC - - 100 - - - 100

6.25% Medium Term Notes 04/01/20 SCANA - - - - - 170 170

2.579% Junior Subordinated Notes 07/01/20 DEI - - - - - 1,000 1,000

2.80% 2015 Series A Senior Notes 11/15/20 DEGH - 700 - - - - 700

2017 Series E Private Placement Sr. Notes (variable) 12/01/20 DEI - - - - - 300 300

Sinks of various debt obligations multiple multiple - - - - 50 - 50

2020 Total - 700 100 - 50 2,271 3,121

2021

4.59% Private Placement Senior Notes 02/14/21 PSNC - - 150 - - - 150

4.104% Junior Subordinated Notes 04/01/21 DEI - - - - - 550 550

2018 Series A Senior Notes (variable) 06/15/21 DEGH - 500 - - - - 500


2.0% 2016 Series C Senior Notes 08/15/21 DEI - - - - - 400 400

3.5% First Mortgage Bonds 08/15/21 DESC - - - 3 - - 3

3.22% Private Placement First Mortgage Bonds 10/18/21 DESC - - - 30 - - 30


2021 Total - 500 150 33 52 1,650 2,385

2022

2.75% 2017 Series B Senior Notes 01/15/22 DEI - - - - - 400 400

2.95% 2012 Series A Senior Notes 01/15/22 VEPCO 450 - - - - - 450


2.75% 2012 Series B Senior Notes 09/15/22 DEI - - - - - 350 350


2022 Total 750 - - - 53 750 1,553

Dominion Energy, Inc. & Subsidiaries

Segment


Fixed incomeSchedule of debt maturities continued ($ millions, as of Feb. 2020)

51

² Excludes finance leases

Financing

Due Date Entity DE Virginia DE GT&S DE Gas Dist DE SC DE C Gen Corp & Other Total

2023

2.45% 2019 Series B Private Placement Senior Notes 01/15/23 DEI - - - - - 1,000 1,000

2.75% 2013 Series C Senior Notes 03/15/23 VEPCO 700 - - - - - 700

2.875% 2016 Series C Senior Notes 06/15/23 DEGH - 250 - - - - 250

3.55% 2013 Series B Senior Notes 11/01/23 DEGH - 400 - - - - 400

2016 Term Loan (variable) (SBL Holdco) multiple DGI Sub - - - - 245 - 245


2023 Total 700 650 - - 276 1,000 2,626

2024


3.496% 2017 Series C Senior Notes 03/15/24 DEI - - - - - 300 300


2.50% 2019 Series A Senior Notes 11/15/24 DEGH - 600 - - - - 600

2.98% Series A Private Placement Senior Notes 12/01/24 QGC - - 40 - - - 40

3.60% 2014 Series B Senior Notes 12/15/24 DEGH - 450 - - - - 450

2017 Term Loan (variable) (Dominion Solar Projects III) multiple DGI Sub - - - - 164 - 164


2024 Total 350 1,050 40 - 181 1,000 2,621

Total 2 1,800$ 2,900$ 290$ 33$ 612$ 6,671$ 12,306$

Dominion Energy, Inc. & Subsidiaries

Segment


Fixed incomeSchedule of change in capitalization ($ millions)

52

Change in debt (long-term plus securities due in one year)

Balance as of December 31, 2018 $38,841

Issuances:

DEI 2019 Series A 4.60% Senior Notes due 2049 400

DEI 2019 Series B 2.45% Private Placement Senior Notes due 2023 1,000

DEI 2018 Series B 4.25% Senior Notes (Reopen) due 2028 200

VEPCO 2019 Series A 2.875% Senior Notes due 2029 500

VEPCO 2019 Series B 3.30% Senior Notes due 2049 550

DEGH 2019 Series A 2.50% Senior Notes due 2024 600

DEGH 2019 Series B 3.00% Senior Notes due 2029 600

DEGH 2019 Series C 3.90% Senior Notes due 2049 300

DEQC 2019 364-Day Term Loan (variable) due 2020 3,000

Total issuances $7,1501

Maturities:

DEI 2017 Series A 1.875% Senior Notes due 2019 (400)

DEI 2017 Series D (variable) Private Placement Senior Notes due 2019 (500)

DEI 2016 Series B 1.60% Senior Notes due 2019 (500)

DEI 2016 2.962% Jr Subordinated Notes due 2019 (550)

¹ Excludes $1.4 billion of 2016 Series A-1 and A-2 Remarketable Subordinated Notes that were remarketed as Junior Subordinated Notes in June 2019. Also excludes $225 million of certain tax-exempt financings that were remarketed in May and October 2019



53


Maturities (cont’d):

DEI 2009 Series A 5.20% Senior Notes due 2019 (500)

DEI 2006 Series A (variable) Enhanced Jr Subordinated Notes due 2066 2 (12)

DEI 2006 Series B (variable) Enhanced Jr Subordinated Notes due 2066 2 (13)

VEPCO 2009 Series A 5.00% Senior Notes due 2019 (350)

VEPCO 2009 Series A 5.00% EDA Chesterfield County Revenue Bonds due 2023 2 (40)

DEGH 2014 Series A 2.50% Senior Notes due 2019 2 (450)

DEM 2016 Term Loan (variable) due 2019 2 (300)

DEM 2018 Revolving Credit Agreement (variable) due 2021 2 (73)

DECP 2018 Term Loan (variable) due 2021 2 (3,000)

DEQC 2019 364-Day Term Loan (variable) due 2020 2 (3,000)

DSP III 2017 Term Loan (variable) due 2024 (22)

ESL 2018 4.82% Senior Secured Notes due 2042 (17)

SBL Holdco 2016 Term Loan (variable) due 2023 (33)

SCANA Credit Agreement (variable) due 2020 2 (40)

SCANA 6.25% Medium Term Notes due 2020 2 (80)


2 Repaid, redeemed or purchased through tender offers, prior to stated maturity date



54


Maturities (cont’d)


SCANA 2007 Senior Notes (variable) due 2034 (4)

DESC First Mortgage Bonds 3.50% Series due 2021 2 (297)





GENCO 5.49% Senior Secured Notes due 2024 2 (40)

Total Maturities (11,859)¹

Other

Long-term debt outstanding at closing of SCANA Combination 3 6,762

Change in Finance Leases 95

Change in Foreign Currency Remeasurement Adjustment (6)

Change in Fair Value Hedges, Net Discount/Premium and Debt Issuance Costs 3

Other – rounding 1

Total Other 6,855

Balance as of December 31, 2019 $ 36,987

¹ Excludes $1.4 billion of 2016 Series A-1 and A-2 Remarketable Subordinated Notes that were remarketed as Junior Subordinated Notes in June 2019. Also excludes $225 million of certain tax-exempt financings that were remarketed in May and October 2019.2 Repaid, redeemed or purchased through tender offers, prior to stated maturity date 3 Represents SCANA's principal amount of outstanding long-term debt at the closing of the SCANA Combination. For more information, see Note 3 to the forthcoming Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended Dec 31, 2019



55

Change in shareholders’ equity¹


Net change in preferred stock 2,387

Net change in common stock 11,236

Net change in AOCI (93)

Retained earnings (1,553)

Net change in common shareholder’s equity 11,977

Noncontrolling interests 98

Net change in equity 12,075


Shareholders’ equity

¹ Reflects the acquisition of SCANA and the public interest in Dominion Energy Midstream and the sale of a 25% interest in Cove Point as well as the issuance of preferred stock

Documents

Q4 2019 earnings call€¦ · Operating earnings per share Actual versus guidance ($ per share) 3 $1.10 Actual¹ Weather normal² Guidance¹ ¹ See pages 7, 8, 20, 21, and 24 of the